Energy & advanced manufacturing / 1997–2026

Former DuPont insiders sold chloride-process trade secrets into a Chinese state-owned project S1 S2 S3 S4

A consulting company recruited retired DuPont engineers, assembled protected titanium-dioxide plant knowledge, and contracted to transfer it to Pangang projects in China. S1 S2 S3 S4

Evidence at a glance How labels work

Evidence status Adjudicated
Case-level nexus context Court-established or admitted
Public sources 4 Automated checks verify citation linkage; editorial review judges support
Evidence foundation Primary adjudicative record The published Ninth Circuit opinion anchors the surviving convictions; later sources document resentencing and the separate Pangang dismissal. S1 S3 S4
Publication record Published Aug 23, 2026 Reviewed Aug 25, 2026 · Next Feb 23, 2027

Evidence status and PRC-state nexus answer different questions and must not be joined across different actors. Actor-specific outcomes appear below.

Compare this file

Finding

A federal jury convicted Walter Liew, Robert Maegerle, and USA Performance Technology on trade-secret offenses; Liew and his company were also convicted of economic espionage. The remaining charges against the Pangang companies were dismissed with prejudice during trial in 2026. S1 S3 S2 S4

01 / Executive brief

Executive summary

DuPont's chloride-route process for making titanium-dioxide pigment was not one secret blueprint. It was a body of plant design, flow sheets, specifications, and operating knowledge accumulated inside a tightly protected industrial system. Walter Liew assembled access to that system by recruiting retired DuPont engineers whose careers carried the process in documents and memory. S1 S2

Liew's companies entered contracts worth more than $20 million to provide chloride-process technology for Pangang projects in China without a DuPont license. Liew, Robert Maegerle, and USA Performance Technology were convicted on core trade-secret counts, and Liew and his company on economic espionage; however, the separate prosecution of the Pangang companies ended in a 2026 dismissal with prejudice and no corporate verdict. S1 S2 S3 S4

White titanium dioxide powder displayed in a clear laboratory container
technology

Titanium dioxide is a high-volume white pigment used in products including paints, plastics, and paper. The stolen asset was the protected chloride-route plant process for manufacturing it at scale. Contextual image.

ATGabdrahmanov · CC BY-SA 4.0 ↗

02 / The vignette

What happened

Industrial knowledge walked out in people

The route to DuPont's process ran through experienced retirees. Liew retained former engineers, including Maegerle, who had spent years around DuPont's titanium-dioxide plants. The prosecution showed how post-employment consulting can reunite protected drawings and specifications with tacit knowledge held by specialists who know why a plant is designed the way it is. S1 S2

Consulting contracts packaged the transfer

Liew's U.S. business signed a multimillion-dollar Pangang contract in 2005 and a $17.8 million agreement for a Chongqing project in 2009. Trial evidence connected those projects to protected DuPont drawings, flow sheets, specifications, and process knowledge aimed at building or upgrading chloride-route facilities in China. S1 S2

The record has two different outcomes

A jury convicted Liew, Maegerle, and the U.S. consulting company in 2014; the core trade-secret and economic-espionage convictions survived appeal, and Liew was resentenced to 144 months. The Pangang entities require separate treatment: prosecutors dismissed their charges with prejudice during trial in July 2026. That dismissal is not a conviction, and this dossier does not present it as one. S1 S3 S4

03 / Anatomy

How access became transfer

This six-part framework asks the same questions of every file. Each stage carries its own evidence state; a listed stage can be alleged, inferred, interrupted, disputed, or not established. The structure does not manufacture a completed transfer or harm.

  1. 01

    Relationship context Documented

    Industrial mandate

    Liew pursued chloride-route titanium-dioxide projects after learning that the technology was a Chinese industrial priority. S1 S2

  2. 02

    Access assessed Documented

    Retirees recruited

    Liew retained former DuPont engineers, including Maegerle, whose careers had given them detailed knowledge of DuPont plants and processes. S1 S2

  3. 03

    Acquisition assessed Adjudicated or admitted

    Protected compilation assembled

    Trial evidence tied protected drawings, flow sheets, specifications, and process knowledge to the consulting team's work. S1

  4. 04

    Movement assessed Documented

    Contracts carried the package

    Liew's companies entered contracts worth more than $20 million to convey plant design and process technology to Pangang projects in China. S1 S2

  5. 05

    Downstream use assessed Adjudicated or admitted

    Plant projects advanced

    The work was directed toward upgrading and building chloride-route titanium-dioxide facilities without DuPont licensing its protected process. S1

  6. 06

    Consequences assessed Adjudicated or admitted

    Individuals convicted; company case dismissed

    The individual and U.S. corporate convictions remained, but prosecutors dismissed the separate Pangang prosecution with prejudice in July 2026. S1 S3 S4

04 / Evidence boundary

What is established—and what is not

Established in the record

  • The surviving convictions establish that Liew and his U.S. company attempted to obtain and convey protected DuPont process technology and intended to benefit a foreign instrumentality. S1 S3
  • The record shows deliberate recruitment of former DuPont personnel and use of protected technical compilations rather than lawful independent development alone. S1 S2
  • The Pangang companies were never convicted: their separate charges were dismissed with prejudice in July 2026. S4

Uncertain, limited, or unresolved

  • The public dismissal did not adjudicate the Pangang companies' factual innocence or liability; it ended the prosecution without a verdict, so this file assigns them no criminal finding. S4

Subject response / procedural context

  • Liew and USA Performance Technology challenged whether the material remained secret and whether the instructions permitted conviction without proof of a trade secret; the Ninth Circuit rejected the core challenges but reversed unrelated counts and required further proceedings. S1
  • Pangang defended the corporate prosecution through trial; the Justice Department then voluntarily dismissed those charges with prejudice, foreclosing a later retrial on them. S4

05 / Sequence

Timeline

  1. First Pangang contract

    A Liew company signed a multimillion-dollar agreement for a chloride-process project. S1

  2. Chongqing project contracted

    USA Performance Technology signed a $17.8 million agreement for another chloride-route facility. S1

  3. Jury verdict

    The jury convicted Liew, Maegerle, and USA Performance Technology on the central trade-secret counts; Liew and the company were convicted of economic espionage. S1 S2

  4. Core convictions upheld

    The Ninth Circuit upheld the trade-secret and economic-espionage rulings while reversing separate obstruction and witness-tampering counts and remanding. S1

  5. Liew resentenced

    On remand, the district court imposed a 144-month prison term. S3

  6. Pangang charges dismissed

    After trial began, the government dismissed the charges against Pangang and its subsidiaries with prejudice. S4

06 / People and institutions

Who appears in the public record

Walter Liew

Owner and president of USA Performance Technology S1 S2 S3 S4

Outcome: Convicted of economic-espionage and trade-secret offenses; resentenced to 144 months after appeal S2

Actor-specific PRC nexus Court-established or admitted

Walter Liew: Liew's surviving economic-espionage convictions required a jury finding that he intended or knew the conduct would benefit a foreign government, instrumentality, or agent. That finding does not convert the later-dismissed charges against Pangang into corporate convictions. S1 S2 S3 S4

Robert Maegerle

Retired DuPont engineer retained as a consultant S1 S2 S3 S4

Outcome: Convicted of trade-secret offenses; sentenced to 30 months S2

Actor-specific PRC nexus Unknown / insufficient public evidence

Maegerle was convicted of trade-secret offenses, but the cited record does not support assigning Liew's surviving foreign-government-benefit finding to Maegerle. S1 S2 S3 S4

USA Performance Technology Inc.

Engineering company that contracted on Pangang titanium-dioxide projects S1 S2 S3 S4

Outcome: Convicted of economic-espionage and trade-secret offenses S2

Actor-specific PRC nexus Court-established or admitted

USA Performance Technology Inc.: Liew's surviving economic-espionage convictions required a jury finding that he intended or knew the conduct would benefit a foreign government, instrumentality, or agent. That finding does not convert the later-dismissed charges against Pangang into corporate convictions. S1 S2 S3 S4

Pangang Group companies

Chinese state-owned project customers and separately charged corporate defendants S1 S2 S3 S4

Outcome: Charges dismissed with prejudice during trial in July 2026; no corporate conviction S2

Actor-specific PRC nexus Documented affiliation or support

The Pangang companies were state-owned project customers, but their charges were dismissed with prejudice and they were not convicted. S1 S2 S3 S4

Originator / affected institution

E. I. du Pont de Nemours and Company

Developer and owner of the protected chloride-route titanium-dioxide technology S1 S2 S3 S4

07 / Consequences

Documented, attributed, potential, and unknown consequences

Court finding

The scheme converted decades of protected process development into a commercial engineering package sold through contracts exceeding $20 million. S1 S2

Documented record

The district court's original sentence included $511,667.82 in restitution and $27.8 million in forfeiture; the custodial term was later reduced on remand. S2 S3

08 / Hindsight analysis

Where leadership could have seen risk

These are our analytic judgments based on the public record, not court findings. They are framed to improve controls without treating nationality as a risk factor.

Retirement did not end exposure

Former employees retained both documents and deep tacit knowledge. Offboarding, continuing confidentiality reminders, and post-employment conflict controls needed to match the asset's long useful life.

Know-how was valuable as a compilation

Individual facts could look familiar or public while the protected selection, sequence, and operating detail remained commercially decisive.

Commercial projects obscured provenance

Engineering contracts can make acquired capability look ordinary. Buyers, suppliers, and boards need a defensible provenance record for designs assembled from former-employer knowledge.

09 / Apply the lesson

Actions leaders can take

  1. companies

    Extend crown-jewel offboarding

    Inventory returned media, preserve access logs, issue tailored continuing-duty notices, and use counsel-approved follow-up when former insiders join a customer, consultant, or competitor project involving the same process.

  2. both

    Protect compilations explicitly

    Document why the combination of parameters, drawings, sequences, and troubleshooting knowledge is secret, valuable, and access-controlled even where individual elements are public.

  3. companies

    Demand design provenance

    Require project teams and acquired vendors to identify prior-employer inputs, licenses, clean-room boundaries, and independent-development records before sensitive technology is delivered.

10 / Source record

Sources

Links point to the public record reviewed for this file. Government releases can summarize court proceedings but remain government-authored sources; the source note identifies those limits.

  1. S1

    United States v. Liew, 856 F.3d 585 ↗

    U.S. Court of Appeals for the Ninth Circuit · Published May 5, 2017 · Retrieved Aug 23, 2026

    Locator: United States v. Liew, 856 F.3d 585 (9th Cir. 2017)

    Published appellate opinion describing the evidence, affirming the core trade-secret and economic-espionage convictions, reversing separate counts, and remanding.

    adjudicative record court record
  2. S2

    Walter Liew Sentenced to Fifteen Years in Prison for Economic Espionage ↗

    U.S. Department of Justice · Published Jul 11, 2014 · Retrieved Aug 23, 2026

    Original sentencing summary; the later appellate remand and resentencing are separately documented.

    official summary government release
  3. S3

    United States v. Liew, Order Granting Motion to Reduce Sentence ↗

    U.S. District Court for the Northern District of California via FindLaw · Published Jun 15, 2020 · Retrieved Aug 23, 2026

    Court order recounting the surviving convictions and 2018 resentencing to 144 months.

    procedural record court record
  4. S4

    DOJ Drops Espionage Charges Against DuPont's Chinese Competitor ↗

    Bloomberg Law · Published Jul 14, 2026 · Retrieved Aug 23, 2026

    Current procedural reporting on the government's dismissal with prejudice during the Pangang trial.

    independent reporting reputable reporting

12 / Reference

Cite this dossier

Use the permanent URL and review date below so readers can identify the version of the public-source record you consulted.

ChinaSteals. “Former DuPont insiders sold chloride-process trade secrets into a Chinese state-owned project.” CS-003. Published Aug 23, 2026; last reviewed Aug 25, 2026. https://chinasteals.com/cases/liew-maegerle-dupont-tio2/

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